Impact of COVID-19 on Whitbread: Authentic Leadership Report

This report delves into the concept of authentic leadership, focusing on its application within the context of the Whitbread company, a major player in the hospitality industry. The report examines the key issues faced by Whitbread during the COVID-19 crisis, including economic losses, employee challenges, and operational restrictions. It analyzes the response of Alison Jane Brittain, the company's leader, highlighting her strategies and decisions in navigating the pandemic's impact. Furthermore, the report offers recommendations for the organization to adapt and recover from the crisis, emphasizing the importance of employee trust, safety measures, and strategic adjustments. The analysis covers the impact of the crisis on the leadership styles, the need for innovation and new services, and the importance of maintaining a strong brand image. The report concludes with an assessment of the challenges and the potential for long-term recovery.

AUTHENTIC LEADERSHIP

TABLE OF CONTENT
INTRODUCTION.....................................................................................................................................3
MAIN BODY.............................................................................................................................................3
OUTLINE THE KEY ISSUES THAT FACED BY ORGANIZATION FROM THE CURRENT
COVID-19 CRISIS..................................................................................................................................3
RESPONSE OF LEADER ON THE SITUATION.................................................................................5
RECOMMENDATION...........................................................................................................................7
CONCLUSION..........................................................................................................................................9
REFERENCES........................................................................................................................................10

INTRODUCTION
Authentic leadership can be defined as the leadership approach that focuses on building
the leader's legitimacy through healthy relationship with employees which values their input and
establishes on an ethical foundation. A authentic leader can create a company's climate of
commitment, job satisfaction, knowledge-sharing, high work engagement, higher performance as
well as productivity. There is a great example of Whitbread company. It is a British Leisure
Hospitality company which is headquartered in England. It offers its serves in India, China,
Dubai, Europe, Republic of Ireland, United Kingdom and Russia. Report is going to consist of
key issues which the industry has faced and as a leader of the organization Alison Jane Brittain
has taken after this situation which has taken place. The report is also going to consist of
recommendations as well which the organizations can take after Covid-19 has taken place
globally.
MAIN BODY
OUTLINE THE KEY ISSUES THAT FACED BY ORGANIZATION FROM THE CURRENT
COVID-19 CRISIS
Whitbread is a hospitality company that offers both hotel and restaurant services as product
to the people which is operated in multiple countries. The company has made a place for
themselves in leisure hospitality industry which was providing the organization with higher
income and the company was able to make a brand image very quickly. There is high
competition as well in this industry which needs to be analyzed and decisions have to be taken
accordingly so that there are going to be better results overall. However, these companies are
allowed to operate in their market. Almost all restaurants have instructed to keep limited
operations like to only take outs. But during Covid-19 crisis, it has to face various issues because
government at different countries decides to flatten the Covid-19 curve through some strategies
like community lock-down, stay at home order, community lock-down, travel and mobility
restrictions that resulted most of the hospitality companies like Whitbread temporary close their
businesses and also decline demands of businesses.

Governments across global have restricted to people for traveling and implemented orders to
stay home which has led sharp decline in hotel occupancies as well as revenues. As Whitbread is
also operates in hospitality industry so it also has to follow all rules and regulation which have
implemented by authorities at different companies. Due to this, company was facing huge
economical loss. However, reopening process has gradually started and authorities across
different countries like India, UK, etc. have begun to ease restrictions such as allows people to
dine in restaurants to reopen at a limited capacity along with highly strict rules i.e. social
distancing guidelines, slowly diminishes number of restrictions on global travel. But Whitbread
company unable to get positive outcomes because it unable to lead high productivity of workers
who can handle number of customers due to social distancing regulation. Another is that
people’s are also scaring to travel by public vehicle and stay in hotel due to Covid-19 as resulted
most of the room of hotel are empty. When authorities across global allows hospitality industry
to operate their businesses with strict guidelines like social distancing, 50% employee
availability, safety measures, emergency services etc. Such guidelines have increased difficulties
for the companies which operates in hospitality industry for example Whitbread company has to
face another key challenge like employee resistance, limited occupancy of hotel along with
safety measures etc. these challenges were not easy task for the Whitbread because it has to
spend money to lead safety precautions in the hotel. In addition, company have to face
economical issue such as around 35,514 employees are offered their services in the Whitbread
which is located in multiple locations across the world. So, it has to cut down salary of all staff
that has led dissatisfaction in them for the job. According to government order, Whitbread
reopen their company in it’s sector, in that sate the big challenge for the company is to negotiate
workers to come in company and offers their services because most of the workers and their
families were denying to come in hotel and offers their services. When few employees were
negotiated with senior authorities to come in company and perform their job role in that situation
company have to take all safety precautions like regular monitoring of temperature of each
employee and worker in the workplace, instructs them to maintain their social distancing and use
masks regular basis and allows only local employees and workers who posses own private
vehicles.
Apart from this, it has faced other issues after post-lock-down such as most of the hospitality
companies are leading advanced change in their working performance so that they can ensure

customer’s that they will be safe in the hotel. However, Whitbread already was facing
economical loss due to lock-down period but now it has to bring advanced change in their
business activity so that it can also ensure their customers that company follow all safety
measures (Whitbread delivers full year results & response to pandemic, 2020). It offers
restaurant services with leisure services as product to the customer. As people avoid to dine in in
hotels and restaurants that also impacted company’s selling revenue because only few customers
were preferring to buy food from the restaurant. There are a lot of changes which are visible after
this situation of Covid-19 has raised worldwide and there have to be measures as well which the
organization will have to take so that there are going to be higher performance and functioning
again. The company can not go in loss which is why right methods will have to be evaluated
which is going to make the performance back up again and the revenue generation is going to be
present as well. Due to Covid-19 there are a lot of issues regarding the employees salaries and
net income of the company falling which is going to make the performance of the company
reduce and that is not going to be effective for a long run. Local tourism is present though for the
hotel chain but that is not going to get in the same income of the hotel line and the prices of the
services and products are also less (Shirey, White-Williams and Hites, 2019). The organization
will have to find ways to be able to overcome the current situation so that there are going to be
effective working and higher performance so that they can keep the brand image in the market
which is going to be good for a long run. The organization was not being able to operate at all in
the market because of the social distancing factors and there are also a lot of regulations like
gathering not being allowed and in a hospitality industry there is going to be a gathering which
would be present. Whitbread will have to find the right measures and techniques to be used by
the organization to be able to operate effectively again in the market.
RESPONSE OF LEADER ON THE SITUATION
Alison Jane Brittain is a very good leader which Whitbread is having in the organization and
there are a lot of measures which can be taken by the businesses in order to be able to overcome
this factor for a better reputation in the market. Leaders in the market have to take right measures
and must know which technique to be used in the business so that there are going to be higher
performance which would be present. There is a lot of experience and knowledge which Alison

received from businesses in the market by working initially with Barclays for 19 years and then
joined Santander UK in 2007 and then Lloyds Banking Group in 2011 which is a lot of
experience which she could have received in the market. There are a lot of issues which come in
the working of a firm and they have to be overcome but there are ways to be able to take the
right measure in the organization. Alison has the right idea and decision making skills in them so
that there is going to be higher results which would have been present as well. Alison works on
the quality of the products and services which the organization is serving in the market for which
the organization will have to take right measures and use right strategies in order to be able to do
that (Rego, Lopes and Nascimento, 2016). Covid-19 has made all the leadership styles change in
the market because now the leaders are focusing on getting in innovation and new services for
the clients which are purchasing these. It is important for the organization to be able to operate
effectively and for that the company will have to use right measures and strategies in order to be
able to gain competitive advantage again.
From time to time the leadership styles have to change so that there are going to be effective
working which is going to be present. Alison is an experienced leader who is present in the
market and there are a lot of measures which they can take to be able to operate effectively.
There are good styles such as democratic and coaching style which is being used in Whitbread so
that there is going to be good communication and trust level which the employees can have.
There is no pressure on the employees as well and Alison is taking care of the salary factor as
well which is present in the organization. Alison is trying her best to find ways to be able to
make the employees have trust in the safety and security measures which the hotel is taking for
them and for the customers as well so that there would be better functioning and higher results.
The situation which is in front of Alison is a very complex situation which is present in the
organization which needs to be addressed by the company on time so that there are going to be
fewer consequences which would be present in the company for a better and competitive
advantage. Alison has decided to let go of 6000 employees which is not a good factor because
there is already a lot of people in the world who are losing their jobs because of corona-virus and
more people losing jobs is going to make the GDP of the country go down as well as the local
tourism is not going to take place (Tomkins and Nicholds, 2017). It is important for Whitbread to
be able to take the trust of the employees higher so that they are ready to come and work in the
organization so that the results are going to be present and will make the company have tourism

as well. Alison makes sure that there is a sense of Laissez faire style as well to some extend
which is going to make the working of the organization more effective.
Employees in the organization are not going to have a good control or any kind of leadership
in the company so that there is going to be less of politics which can take place in the company.
Employees will not be able to take right measures in Covid-19 situation as well because the
company will have to improve a lot on the functioning which is not going to be good for a long
run. Leadership style of Alison has changes because of this crises which has come up because
she wants her workforce to be the same and the organization to be able to operate again
effectively in the market so that there are going to be higher results (Mehmood, Nawab and
Hamstra, 2016). Whitbread has expanded themselves worldwide which is a great factor for the
company because they have a good sense of profit margins they must have in order to be able to
function effectively. The demands of the customers are also changing which needs to be
arranged in the company so that the profitability is going to be present and the organization will
be able to gain competitive advantage. Leaderships styles will make sure that there are effective
decisions which are being taken in the organization so that there are going to be higher
satisfaction of working which is going to be present (Qiu and et.al., 2019). The great leaders
globally are not aware of the decisions they must be taking in the market so that there are going
to be higher performances but they are struggling to be able to make a place for themselves.
Social working is one of Alison's strengths which the company worked upon so that they could
at least help the surrounding people and make the brand image increase in the market even if the
hotels are not functioning.
RECOMMENDATION
There are a lot of measures which a business can take in the market to overcome the crises
which are present in the market. Covid-19 is a situation which the entire world is facing and
there have to be right measures which must be taken so that the company will be able to maintain
their reputation and brand image. Covid-19 if spreading but if the organization takes the right
measures and strategies to be able to operate then the company will be able to operate
effectively. Companies in the market must have a strong place for themselves in the market
which is a strong portfolio so that right measures can be taken and the risk factors can reduce.

There are a lot of changes which are going to be required and also a lot many security and safety
measures as well which is going to make the organization have higher performance. Alison is a
courageous leader who is determined for the work she is doing and she gives in her best which
has to be provided to the employees of the organization as well so that the results are going to be
maintained (Mira and Odeh, 2019). The company has shut down their restaurants and hotels
because of this virus which was a very good decision which Alison took for the company's
reputation.
The organization will have to be more certain of the measures for safety and security in order
to be able to functioning properly. WHO have made a lot of regulations so that this industry can
develop themselves again in the market and they will not have to lose their employees which are
well trained as well. AC common areas are not going to be permitted to operate since it is going
to make the clients not safe and for having higher safety measures, Whitbread is going to follow
this factor which is going to make a positive impact on the clients.There are going to be more
measures which are going to be present like doctor on call if any client is not feel well or is sick
in any way so that right actions can be taken at the right time which is going to make the trust
level of the customers increase. Stakeholders also have to make sure that they are providing the
right measures and information to the clients so that there is going to be higher performance level
which is going to be present. Whitbread was all prepared to be able to operate again in the
market and were not too excited as well when the government allowed hotel industry to operate
again. Guidelines are different in each country for the hotel to be able to operate and Alison has
taking the right measures so that the chain will be able to function again in the market
(Kinnunen, Feldt and Mauno, 2016).
Due to the measures and actions which Whitbread took before, during and after the lock-
down has made the organization reach the leading position in the market. Alison has taken the
right measures to be able to operate effectively and that has really worked in the organization so
that there are going to be higher performance. The economic disruption was present but as the
CEO of Whitbread Alison took the right measures which has made the company have better
results and outcomes are better than much experienced organizations in the market as well.
Despite having a lot of economic dis-balance in the organization the company did not step back
in social cause which the country was facing and they volunteered in the working of the

organization so that the results would be better and company would find it easier to be able to get
their loyal customers. There are other customers as well which got attracted in the company and
that has made the functioning even more effective (Fox-Kirk, 2017). The business has also
adapted to online services like self check in and check out from mobile phones so that the clients
do not have to come in contact at all and that is the right way of doing this in this situation which
has raised. Clarity is not the only factor which the organization has worked upon but the
company has also got in deliveries for the clients so that their satisfaction level is going to
increase.
CONCLUSION
From the above presentation it can be concluded that there are a lot of measures which a
business can take in order to be able to operate effectively in the market. After global crises there
are a lot of negative impact which are present in the market and they have to be overcome
otherwise the businesses in the market are going to shut down. Lock-down and fear in the
tourists is present because of which there are more effective measures which will have to be
taken for the safety and security of the people so that the companies in the market will be able to
operate again effectively and efficiently. Tourists are not travelling any more for leisure which is
a great drawback which the business can have in the market and they have to be overcome with
the help of right measures so that there is going to be higher performance which is going to be
present.

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commitment: The mediating role of positive psychological capital. Journal of Industrial
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Online
Whitbread continues to play its part in COVID-19 crisis. 2020. [Online]. Available Through:- <
https://www.whitbread.co.uk/media/press-releases/2020/14-04-2020 >.
Whitbread delivers full year results & response to pandemic [Online]. Available Through:- <
https://www.caterlyst.com/caterlyst3/insight/Insight.aspx?n=29214 >.